News and Awards

  • Keystone Chairman and HBS Professor Marco Iansiti expands on why digital leaders post higher gross margins, profits, and revenue per employee than digital laggards in a new study entitled, “The Digital Business Divide: Analyzing the operating impact of digital transformation,” featured recently on
    Read the full story and access the study, here: cio-image
  •’s 2017 Top Ranked Consulting Firms: Keystone Strategy has been named to‘s 2017 Top Ranked Consulting Firms in North America with two top 10 placements for both innovation and internal mobility. Read more about Keystone Strategy here: vault-top-ranked
  • The CFO Leadership Council News:  Keystone’s own Director of Finance Julius Gloeckner is featured in the CFO Council News blog detailing why he thrives in Keystone’s entrepreneurial setting.  Read more about Julius Gloeckner and Keystone CFO Council Logo
  • Top 10 Boutique Strategy Consulting firm by IvyExec: Keystone has been ranked a Top 10 Boutique Strategy Consulting firm by IvyExec in their annual consulting firm rankings. Read more about Keystone  ivyexec_logo
  • Consulting Magazine Rising Star: Congratulations to Keystone’s Sam Price who was just named one of Consulting Magazine’s Rising Stars of the Profession for 2016. To read more about Sam and her work at Keystone, go to Consulting MagazineConsulting Mag Rising Star
  • Professor Iansiti releases One Strategy which analyzes how a management team tweaked and optimized the fine line between strategy and executionone-strategy
  • Professor Pisano wins the 2010 McKinsey Award for “Restoring American Competitiveness”

Keystone experts are thought leaders in their fields and are prolific writers on their findings. The experts create leading analytical frameworks for evaluating ecosystem strategy, innovation processes, IP evaluation, antitrust analysis and more. The research of our experts provides Keystone with unique access to large, cross-sectional studies of industry players. Please contact us to learn more about our experts' research.


Stanford Economist Musters Big Data to Shape Web Future

By Aki Ito
June 26, 2013

Link to Article

Set-Asides and Subsidies in Auctions

by Susan Athey, Dominic Coey and Jonathan Levin
October 2010
Set-asides and subsidies are used extensively in government procurement and natural resource sales. We analyze these policies in an empirical model of Forest Service timber auctions. The model fits the data well both in-sample and out-of-sample. Our estimates suggest that restricting entry to small businesses substantially reduces efficiency and revenue, although it does increase small business participation. A bidding subsidy for small business appears to be more effective at achieving distributional goals, increasing revenue and eliminating almost all of the efficiency loss. A small business bidding subsidy also increases the average profits of both large and small firms, compared to a set-aside policy. We explain these findings by connecting to the theory of optimal auction design.
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Dynamics of Open Source Movements

by Susan Athey and Glenn Ellison
September 2010
This paper considers a dynamic model of the evolution of open source software projects,focusing on the evolution of quality, contributing programmers, and users who contributecustomer support to other users. Programmers who have used open source software aremotivated by reciprocal altruism to publish their own improvements. The evolution ofthe open-source project depends on the form of the altruistic benefits: in a base case theproject grows to a steady-state size from any initial condition; whereas adding a need forcustomer support makes zero-quality a locally absorbing state. We also analyze competitionby commercial firms with OSS projects. Optimal pricing policies again vary: in some casesthe commercial firm will set low prices when the open-source project is small; in other casesit mostly waits until the open-source project has matured.
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The Impact of Targeting Technology on Advertising Markets and Media Competition

by Susan Athey and Joshua Gans
American Economic Review, May 2010; and January 11, 2009 version
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A Structural Model of Sponsored Search Advertising Auctions

by Susan Athey and Denis Nekipelov
September 2009
This paper develops a new model where online advertiser bids apply to many user queries, while the quality scores and the set of competing advertisements may vary from query to query. In contrast to existing models that ignore uncertainty, which produce multiplicity of equilibria, we provide sufficient conditions for existence and uniqueness of equilibria. In addition, we propose a homotopy-based method for computing equilibria given advertiser valuations and the distribution of uncertainty. We then propose a structural econometric model. Finally, we apply the model to historical data for several keywords.
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Skewed Bidding in Pay Per Action Auctions for Online Advertising

by Nikhil Agarwal, Susan Athey and David Yang
American Economic Review, May 2009
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Position Auctions with Consumer Search

by Susan Athey and Glenn Ellison
May 2008
This paper examines a model in which advertisers bid for “sponsored-link” positions on a search engine. The value advertisers derive from each position is endogenized as coming from sales to a population of consumers who make rational inferences about firm qualities and search optimally. Consumer search strategies, equilibrium bidding, and the welfare benefits of position auctions are analyzed. Implications for reserve prices and a number of other auction design questions are discussed.
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Market Definition and Concentration: One Size Doesn’t Fit All

by Mark Glick
Antitrust Bulletin, Summer 2007

Intellectual Property Damages: Guidelines and Analysis

by Mark Glick, Lara Reymann, and Richard Hoffman

Intellectual Property Damages presents the basics of intellectual property, the litigation process, the essential “rules” in postulating damages theories, the economic principles that are the foundation for much of IP damages, and the skills necessary to correctly calculate damages in IP cases. Intellectual Property Damages contains case summaries, useful forms for discovery, examples of effective expert opinions and testimony, and detailed calculations under various theories of damages. It also incorporates graphs illustrating economic principles, equations that might be used to support (or detract from) a damages theory, and examples of legal documents that commonly appear in IP litigation. Glick’s knowledge is built upon experience with law, economics, accounting, and (to a more limited extent) finance in the context of IP damages theories.

The Winner’s Curse, Reserve Prices, and Endogenous Entry: Empirical Insights from eBay Auctions

by Patrick Bajari and Ali Hortaçsu
RAND Journal of Economics, 2003, 34(2), pp. 329-55.
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